Texas based Kinder Morgan Suspends Work on $1Billion Palmetto Pipeline

On Wednesday, Kinder Morgan headquartered in downtown Houston, Texas said it is "suspending further work" on the proposed $1 billion Palmetto Pipeline.

The company's planned $1 billion pipeline was to be build from Belton, South Carolina to Jacksonville, Florida for carrying gasoline and diesel fuel.

The company's decision to suspend the work came after Georgia lawmakers passed a bill that involved eminent domain and restrictions placed on petroleum pipelines.

In an announcement posted on the project website, the company said on Wednesday it blamed "the unfavorable action by the Georgia Legislature regarding eminent domain authority and permitting restrictions for petroleum pipelines."

However, Melissa Ruiz, a company spokeswoman declined to make further comments on whether the project is dead now.

A statement on the company's website blamed the decision to the action taken by the Georgia General Assembly that passed legislation in March, keeping the company from seeking environmental permits or other licenses till July 2017. The people who support the suspension bill say it was mainly aimed at stopping the planned pipeline.

One among the biggest gasoline-pipeline companies in the U. S, Kinder Morgan has miles of pipeline in Georgia serving terminals in Albany, North Augusta, Atlanta, Columbus and Athens already. The company has already sold contracts for transporting fuel in the pipe once it was built and started operating. It expressed frustration in a statement but kept the options open whether there is a chance of the project restarted again later.